(1) If, upon complaint by an employee, and after investigation, it appears to the Commissioner of the Bureau of Labor and Industries that an employer is failing to pay wages within five days of a payday scheduled by the employer, the commissioner may require the employer to give a bond in such amount as the commissioner determines necessary, with sufficient surety, to assure timely payment of wages due employees for such future period as the commissioner considers appropriate. In lieu of a bond, the commissioner may accept a letter of credit from an issuer approved by the commissioner, upon such terms and conditions and for such amount as the commissioner determines necessary to assure timely payment of wages for such future period as the commissioner determines appropriate.
(2) If, within 10 days after demand for such bond, the employer fails to provide the same, the commissioner may commence court action against the employer in the circuit court of appropriate jurisdiction to compel the employer to furnish such bond or cease doing business until the employer has done so. The employer shall have the burden of proving the amount thereof to be excessive.
(3) If the court finds that there is just cause for requiring such bond and that the same is reasonably necessary or appropriate to secure the prompt payment of the wages of the employees of such employer, the court shall enjoin such employer from doing business in this state until the requirement is met, or shall make other, and may make further, orders appropriate to compel compliance with the requirement. [1989 c.651 §3]
Note: 652.125 was enacted into law by the Legislative Assembly but was not added to or made a part of ORS chapter 652 or any series therein by legislative action. See Preface to Oregon Revised Statutes for further explanation.
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